CBIC Revises Customs Tariff Values for Gold, Silver, and Edible Oils Effective October 31

The Central Board of Indirect Taxes and Customs (CBIC) has issued a fresh notification revising the tariff values for several key commodities, including edible oils, brass scrap, gold, and silver. This periodic adjustment, intended to align import valuations with current global market prices, mandates new benchmarks for duty calculations starting from the final day of October 2026.

Background

The revision was introduced through Notification No. 89/2026-CUSTOMS (N.T.), dated 30th October 2026, issued by the Department of Revenue under the Ministry of Finance. The Board exercised its powers under Section 14(2) of the Customs Act, 1962 to substitute existing tariff tables. This instrument serves as an amendment to the principal Notification No. 36/2001-Customs (N.T.), dated 3rd August 2001, which establishes the framework for fixing tariff values for specific goods where the Board deems it necessary to prevent under-invoicing or valuation fluctuations. The current update follows the last revision made via Notification No. 86/2026-Customs (N.T.) on 15th October 2026.

Stakeholders Impacted

This update directly impacts a broad spectrum of market participants involved in the import and trade of commodities listed in the revised tables. Specifically, it affects bulk importers of edible oils such as palm and soya bean oil, bullion traders dealing in gold and silver, and industrial units importing brass scrap. Additionally, jewellery manufacturers using imported gold findings or semi-manufactured silver, and compliance professionals including Customs House Agents (CHAs) and legal advisors, must adjust their valuation models to match these updated government benchmarks to avoid duty discrepancies.

Key Provisions

The notification substitutes Table-1, Table-2, and Table-3 of the principal notification to introduce new tariff values expressed in US Dollars.

Revised Benchmarks for Edible Oils and Brass Scrap:

The CBIC has updated the tariff values for various palm oil products in Table-1. Crude Palm Oil is now valued at $1174 per Metric Tonne (MT), while RBD Palm Oil and RBD Palmolein have been fixed at $1200 and $1207 per MT, respectively. Crude Soya bean Oil sees its value set at $1291 per MT. Furthermore, the tariff value for all grades of Brass Scrap has been adjusted to $8242 per MT.

Updated Bullion Valuation Standards:

Table-2 provides the revised values for precious metals. Gold, in various forms including bars bearing manufacturer serial numbers and gold coins with at least 99.5% purity, is valued at $1295 per 10 grams. This value specifically applies to imports where benefits under Notification No. 45/2025-Customs are availed, or for non-baggage/non-post imports. Silver is now benchmarked at $1711 per kilogram for medallions, coins with 99.9% purity, and other semi-manufactured forms. The document clarifies that "gold findings" include small components like hooks, clasps, and pins used in jewelry.

Consistency in Areca Nut Valuations:

In Table-3, the Board has maintained the tariff value for Areca nuts at $10433 per MT, marking no change from the previous notification cycle.

Practical/Compliance Impact

Importers must now calculate basic customs duties and other applicable levies based on these revised tariff values rather than the transaction value, wherever these benchmarks are higher. For bullion importers, the clarification on "gold findings" provides a specific compliance standard for components like clamps and screw backs used in finished articles. Entities must ensure that all Bills of Entry filed from the effective date reflect these updated rates to ensure seamless clearance at ports. Failure to align with these fixed tariff values may result in valuation disputes and additional duty liabilities during the assessment process.

Effective Date

The notification explicitly states that the new tariff values shall come into force with effect from the 31st day of October, 2026.